Free Consultations

We Advance All Costs - No Fee Unless We Win!

In this section
Review Us
Experienced trial lawyers With The Resources To Handle Your Case

Will I have to pay taxes on my SSD benefits?

April 15, the deadline for filing your tax returns, will be here in no time. For people in Harrisburg who began receiving Social Security Disability benefits last year, the process of filing a tax return may be a bit more confusing than it was last year. Do you have to pay taxes on your SSD benefits? And if so, how much? We hope that the following information will help you gain a high-level understanding of the tax obligations that SSD recipients have.

According to the IRS, if you receive any type of Social Security benefits, you should have received a Form SSA-1099 in the mail. This form should explain the amount of benefits you received in 2014. It will help you understand whether you owe taxes on your benefits, and you will need to reference it when filling out your federal tax return.

The first thing that is important to know is that you will never be required to pay federal taxes on more than 85 percent of your SSD benefits. If you do not have any income outside of your benefits, it is likely that you will not have to pay taxes on your benefits.

If you do have other income, your filing status and combined income will determine your tax rate. According to the Social Security Administration, your combined income the sum of your nontaxable interested, your adjusted gross income and half of your SSD benefits.

If your combined income falls between $25,000 and $34,000 and you are filing as an individual, you will have to pay taxes on as much as half of your benefits. If your combined income is higher, you may have to pay the highest tax rate for benefits: 85 percent.

For those who are married and filing jointly, your combined income will include your spouse's income. You will pay taxes on up to 50 percent of your benefits if the total lies between $32,000 and $44,000, and you will pay taxes on up to 85 percent if your total combined income is higher than $44,000.

Although these are the basics for filing a tax return while receiving benefits, it may be helpful to consult with an attorney if you need further assistance in understanding your benefits and how they may affect your taxes.

No Comments

Leave a comment
Comment Information

what our clients say about us

  1. $5.5 Million

    Settlement for spinal injury caused by delivery company's negligent vehicle maintenance

  2. $5 Million

    Settlement for traumatic brain injury

  3. $1.2 Million

    Settlement (Liability insurance limits) for death claim arising out of tractor trailer collision

  4. $1 Million

    Settlement for closed head injury/facial fractures due to negligent construction site practices

  5. $1 Million

    Arbitration award in death claim arising out of motor vehicle collision

  6. $1 Million

    Total workers' compensation settlement for injured worker who suffered orthopedic injuries and additional GI injuries due to prescription medications.

  7. $1 Million

    Policy limits recovered for head injury sustained by the user of unsafe rental equipment.

  8. $890,000

    Settlement for head injury of injured worker caused by negligent operation of equipment by a non-employer contractor on the job site.

  9. $875,000

    Settlement for ankle injury due to negligent dump truck operation

  10. $675,000

    Settlement for bilateral wrist injuries caused by the negligent operation of a tractor-trailer.

  11. $600,000

    Settlement for statutory cap of $500,000 for wrongful death of a worker who was killed when struck by a government-owned vehicle as well as policy limit for underinsured motorist coverage.

  12. $$450,000

    Workers' compensation settlement for a nurse who sustained a low back injury requiring multiple surgeries.

  13. $375,000

    Settlement for knee injury sustained in a motor vehicle collision with contested liability.

view more
email us for a response

Call Us 24/7 To Discuss Your Case

866-967-7235 | 717-496-0070

Absolutely no fee

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy